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Interest rates

Bank of Canada raises interest rates 0.25%

The Bank of Canada announced on Tuesday 24 January that it is raising its target for the overnight rate by one-quarter of one percentage point to 3 1/2 per cent. In a statement the bank said the move was necessary to keep inflation on target over the…

Fed's Poole: Rate rise forecast 'sensible'

St. Louis Fed President William Poole said in an interview published on Monday 23 January that inflation is less worrying now but one or more interest-rate hikes by the Fed could be considered a "sensible forecast".

IMF's Rajan sees a very promising 2006

The International Monetary Fund's Chief Economist on Friday 20 January predicted better global economic growth in 2006 but warned the European Central Bank against raising interest rates too quickly.

Policy shift will be 'headache' says Watanabe

Coping with higher interest rates will pose a "headache" for the Japanese economy, and the central bank is considering how to limit the impact on bonds, according to Hiroshi Watanabe, Japan's vice finance minister for international affairs, who was…

Fed may take pass at Jan. 31 meeting

According to this article published on Thursday 5 January, there's an outside chance the Federal Reserve could pass on raising rates on 31 January following 25-basis-point moves at each of the last 13 meetings. The next move skywards would put the Fed's…

Interview with ECB president Jean-Claude Trichet

In recent comments European Central Bank president Jean-Claude Trichet said that monetary policy "cannot resolve all problems by itself". "We need profound structural reforms to increase our growth potential", Trichet warned.

ECB's message can get lost in translation

On occasions the European Central Bank's monthly news conferences on interest rates can be as much an exercise in linguistic guesswork as a window on the thinking of the world's number two central bank, according to this article published Wednesday 4…

Study shows Fed deflation tools can work

The Federal Reserve has several ways to boost the economy even if official U.S. interest rates were ever to hit zero, but the public needs to understand them to make them effective, a new Fed study shows.

Fed minutes signpost end to rate hikes

The Federal Reserve on Tuesday 3 January said it considers its 1-1/2 year long policy of raising U.S. interest rates is nearing an end, saying a statement after its December meeting aimed to signal only a few more increases were likely.

Fed can see an end to interest rate increases

Federal Reserve officials may be close to ending the series of interest-rate increases they started 18 months ago, according to this article published on Wednesday 4 January, though they will keep going as long as necessary to combat inflation, it says.

ECB's Quaden says rates supportive

Eurozone interest rates of 2.25 percent are still supportive of economic growth, European Central Bank Governing Council member Guy Quaden told Belgian magazine Tendances Trends on Thursday 29 December.

Trichet defends ECB's rate rise

European Central Bank President Jean-Claude Trichet told Der Spiegel magazine that the ECB's recent decision to increase interest rates would increase confidence and encourage investment in the eurozone.

Fed breaks pattern, signals replace promises

According to this recent article, the Federal Reserve's latest FOMC statement marks the end to an extraordinary 18-month period during which they telegraphed exactly what they were going to do at their next policy-making meeting.

Bank of England voted 8-1 to hold rates

Bank of England Monetary Policy Committee members voted 8- 1 to keep interest rates unchanged this month, the first split vote since August, minutes released on Wednesday 21 December showed.

Why I decided to vote against the governor: Bean

In this article published on Sunday 18 December, Bank of England Chief Economist and MPC member Charlie Bean said that he has no regrets about voting against the governor to cut interest rates and says that we may not have to wait until spring for the…

ECB's Trichet on European financial integration

In the speech 'European financial integration' given on 16 December Jean-Claude Trichet of the ECB said a lack of integration in eurozone mortgage markets may affect the impact that ECB rate decisions have in different countries.

Garganas says ECB will act on rates if needed

The European Central Bank will raise interest rates in the future if December's hike isn't enough to keep inflation subdued, Bank of Greece governor and ECB Governing Council member Nicholas Garganas said Monday 19 December.

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